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Chamber supports resolution to benefit ballpark

By Cindy Ramirez \ El Paso Times

Posted:
09/07/2012 12:00:00 AM MDT

The Greater El Paso Chamber of Commerce has approved a resolution in support of the city's proposed hotel occupancy tax increase designated to fund most of the $50 million ballpark Downtown, officials announced Thursday.

"We are a community that's finally getting together to move our city forward and to grow economically," Chamber of Commerce President and CEO Richard Dayoub said. "We fully support that."

Dayoub said the 1,800-member nonprofit organization often takes positions on community matters to educate the public and influence voters and decision-makers. The chamber's 75-member governing board supported the resolution, he said.

Voters in November will decide whether to allow the city to increase the hotel occupancy tax from 15.5 percent to 17.5 percent, boosting the average hotel tax to $1.40 per night.

Proponents argue that the average daily hotel cost would remain among the lowest in the state, though opponents such as the El Paso Hotel/Motel Association argue that the tax rate would be the highest in the state. That could turn away convention and other event organizers from coming to the city, opponents argue.

City officials have said the increase to the hotel tax would cover about 72 percent of the cost to build the ballpark, which the city agreed to do if private investors MountainStar Sports Group secured a Triple-A minor league team. The remainder is to be paid with ballpark rental fees, ticket surcharges, parking revenues and other sources.

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If voters turn down the proposed hotel tax increase, "the burden of the project cost will not be substantially born by visitors to our city, but instead by our residents," the chamber's resolution states.

The City Council is expected to vote on finalizing its contract with MountainStar in the next two weeks, after which the group would probably finalize its purchase of the Tucson Padres, officials said.

Earlier this year, the chamber announced its support of the city's $473 million quality-of-life bond referendum set to go to voters in November. If approved, the bonds would be used to build and expand parks, sports fields, swimming pools, and recreation and senior centers. The bonds would also help build a new children's museum and a new multipurpose events center Downtown.

Dayoub said it's important to remember that the ballpark is only one element of the economic development plan for Downtown and the city.

"The bond is critical to build more parks that the community has been longing for and that could attract regional competitions and visitors to our city," Dayoub said. "The hotel tax is critical to the ballpark, but that's only one piece of the bigger picture."